Jump to content

Tesla shares: is the rally over?


Tesla shares rally poll  

1 member has voted

  1. 1. Is the rally over for Tesla shares?

    • YES
      0
    • NO
      2


Recommended Posts

Certainly, the recent rally that’s seen Tesla shares more than double since the start of the year would appear to be over.

 

 Jeremy Naylor | Analyst, London | Publication date: Tuesday 27 June 2023 

The rally took the shares to the trillion dollar level, prompting some analysts to question its valuation and downgrade the stock. IGTV’s Jeremy Naylor takes a look at levels to watch out for as the MACD turns over.

(Video Transcript)

Tesla shares rally

So it seems that the stunning rally in Tesla shares may finally be over. Certainly for the time being, at least, the rally took the shares to the trillion-dollar level, prompting some analysts to question the valuation and coming through with a downgrade in the stock, which is what we saw yesterday coming through on the Tesla stock from Goldman Sachs.

Share price chart

I want to show you the share price chart because we've seen some relatively hefty candles on the way down. This blue box represents the move that we've seen since the beginning of the year. In fact, the year started negatively, but we've been up 127% since the very first trade in 2023, up to the recent highs that we've seen in the stock, taking us up to those highs on the 21st of June. Since then, there's been a little bit of air taken out of the tyres of Tesla stock.

Yesterday, Goldman Sachs cut the hold equivalent rating, joining Morgan Stanley and Barclays, which downgraded the stock last week. Brokerages, however, have said that they will raise their price targets to reflect the momentum in Tesla shares. But all those price targets are below where we are.

The MACD

I wanted to show you this because I think there are a couple of interesting things happening here. We've got this coming together of all these moving averages: the 50, 100, and 200-period moving averages; the 50 is now going above the 200-period moving average. There's this death cross that we've seen in this stock.

And that coincides as well with what we've got here down to the bottom with the MACD, the moving average convergence divergence indicator, something that I follow a lot of. When you get this passing in this direction, this is on the way down, obviously with the blue line coming in now down below the red dotted line, which gives us a little bit of a red histogram down here.

When you see that crossover happen, look what happens. The stock you see declines every time it happens; declines come through it every time. This is always the case.

So the big question is: how much further down can Tesla stock go? Certainly, we've seen a tremendous rally this year. As I said, it has more than doubled in stock since the beginning of 2023.

And people think it's time to sell stock. That's what they're doing at the moment. 240, 77. This is an all-session stock, like 9:00 this morning on the platform.

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • image.png

  • Posts

    • Discover the future of art commerce with Artrade, an all-in-one platform dedicated to supporting creators, fostering community connections, and protecting content from crypto volatility. Whether you're a digital artist, traditional artist, curator, or collector, Artrade offers a seamless solution for selling and showcasing your work while championing fairness and transparency in the art world.  Artrade is committed to fairness for artists, which is why it revolutionizes the art marketplace with its ultra-competitive commission structure. Unlike traditional platforms that charge hefty commissions of up to 50%, Artrade believes in rewarding creators fairly. With just a 5% commission on sales, artists retain more of the value generated by their work, ensuring that their talent is recognized and compensated appropriately.  Beyond facilitating sales, Artrade prioritizes building connections within the art community. Whether it's connecting artists with collectors, fostering collaborations between creators, or providing a platform for enthusiasts to engage with art, Artrade cultivates a vibrant ecosystem where creativity thrives and relationships flourish. By fostering a sense of community and support, Artrade empowers artists to reach new heights in their artistic journey.  Excitement builds as Artrade (ATR) prepares for listing on Bitget Exchange on April 18th at 11:00 UTC. This partnership opens up new opportunities for artists and investors alike, providing a trusted platform for trading and engaging with the ATR token. As Artrade continues to champion fairness and innovation in the art world, its listing on Bitget Exchange marks a significant milestone in its mission to empower creators worldwide.
    • In a bid to ensure the widespread use of cryptocurrency, certain platforms have come up with good initiatives to boost enthusiasm in cryptocurrency.  Bitget in an effort to achieve this have come up with an initiative known as the COO apprenticeship, this is in link with the platform’s #Blockchain4Youth initiaitve. Basically, the program requires eligible participants to collaborate closely with the team while gaining valuable leadership experience in the process. Similarly, they are also required to conduct market research as well as assist in the implementation of market strategies.  The prerequisites for participating are relatively easy; excellent communication skills, passion for crypto, blockchain tech as well as availability for a 3 month commitment with the possibility of travelling to Dubai.  The benefits tagged along this are overwhelming, you get gifts from Bitget in the form of monthly $BGB airdrops and Bitget Merchandise. Apart from being rewarded monetarily, the work experience, a widened horizon etc are part of the perks that come with this program.  However, the targeted regions for the program are; France, Germany, italy, Spain, Portugal and the UK. This is indeed a worthwhile opportunity for those that can participate.
    • GX Uranium ETF (URA) Elliott Wave Analysis  Function - Counter trend Mode - Corrective Structure - Emerging Zigzag Position - Red wave (C) of blue 4  Direction - Red wave (C) of blue 4 is still in play Details - Price broke blow 30. Wave (C) was confirmed by the break below 29.26. Should extend toward 25.94. The GX Uranium ETF is an exchange-traded fund (ETF) that focuses on investing in companies involved in the uranium industry. Uranium is a key component in nuclear power generation, and its demand is influenced by factors such as global energy needs, environmental concerns, and government policies regarding nuclear power.   Recent market movements have seen the GX Uranium ETF undergo a bearish correction, with a decline exceeding 5% over the current trading week. This downturn commenced on February 1st, 2023, and is anticipated to persist in the short term before encountering a support level, heralding the onset of renewed upward momentum. Notably, this correction unfolds within the broader context of a bullish trend that commenced in March 2022. Despite enduring an over 8-month pullback between November 2021 and July 2022, the ETF has steadily ascended, reaching its loftiest valuation since April 2014. Consequently, post the prevailing retracement, a resumption of the bullish trajectory is anticipated.   Analyzing the daily time frame reveals a discernible bullish impulse of the cycle degree (marked in blue) after the supercycle wave (b). The termination of the 3rd wave - designated as blue wave 3 - occurred in February 2023, characterized by a diagonal pattern, followed by the onset of the corresponding 4th wave. This 4th wave manifests as a zigzag pattern, navigating through wave (C) after completing wave (B) via an expanding diagonal. To maintain the integrity of the overall impulse structure, the 4th wave - delineated as blue wave 4 - must remain above the critical level of 24.36. Expectations converge on buyers eagerly awaiting the conclusion of wave (C) to propel the bullish momentum into the 5th wave. Examining the H4 chart illuminates the sub-waves of (A)-(B)-(C) and the emergence of wave (C). The initial target for wave (C) aligns with the 100% extension of wave (A) at 25.94, slightly above the psychological barrier of 25. Traders are thus advised to anticipate the culmination of wave (C) within the 25.94-25 zone, paving the way for subsequent rallies.   Technical Analyst : Sanmi Adeagbo Source : Tradinglounge.com get trial here!        
×
×
  • Create New...
us